Dealnet's Value Triples With Shareholder Activism

TORONTO, Oct. 19, 2020 (GLOBE NEWSWIRE) -- Dealnet Capital Corp. (TSX VENTURE: DLS) ("Dealnet" or the "Company") and Simply Green Home Services Inc. ("Simply Green") announced the successful take up of Dealnet's shares on October 15, 2020. Capital Partners Corporation and Municipal Home Service Inc. (collectively, the "Dissident Shareholders" or "Dissidents'") congratulate Lawrence Krimker and Simply Green on the successful acquisition of Dealnet shares.

The Dissident Shareholders, represented by Canadian businessmen Shail Silver and Dr. Steven Small delivered a notice to Dealnet of their intent to nominate an alternate slate of directors to oust the failing incumbent board in a letter dated March 27^th, 2020. On that day, Dealnet shares were trading at $0.05 and had hit an all-time low of $0.03 earlier in the week. The successful take up of Dealnet shares at $0.16 represents a 320% return for shareholders since the commencement of the Dissidents' actions less than 9 months earlier.

"We made every effort to drive value and advocate on behalf of all shareholders. This transaction frees shareholders from being trapped in an illiquid and mismanaged company," said Shail Silver. The Dissidents put immense pressure on the incumbent Dealnet directors, ultimately resulting in a take-over bid that drove the share price up by more than 3 times and created over $31 million dollars in shareholder value.

Simply Green is highly admired in the consumer finance industry. Their leadership, foresight, agility and access to capital allowed them to act quickly on the opportunity to acquire Dealnet for an attractive price. The Dissident Shareholders will tender their combined 8.96% of Dealnet shares and encourage the remainder of shareholders to do the same. "Although short of our intended goal to drive Dealnet with a new board well beyond its $0.29 breakup value, our priority was always to serve the shareholders. Our efforts led the price of the shares to a multiple that shareholders could accept," concluded Dr. Steven Small.

Forward Looking Statement

This news release contain forward-looking statements and forward-looking information within the meaning of applicable securities laws. All statements and information, other than statements of historical fact, included herein are forward-looking statements, including, without limitation, statements regarding activities, events or developments that the Dissident Shareholders expect or anticipate may occur in the future. These forward-looking statements can be identified by the use of forward-looking words such as "may", "will", "expect", "intend", "plan", "estimate", "anticipate", "believe" or "continue" or similar words and expressions or the negative thereof. There can be no assurance that the plans, intentions or expectations upon which these forward-looking statements are based will occur or, even if they do occur, will result in the performance, events or results expected. We caution readers not to place undue reliance on forward-looking statements contained herein, which are not a guarantee of performance, events or results and are subject to a number of risks, uncertainties and other factors that could cause actual performance, events or results to differ materially from those expressed or implied by such forward-looking statements.

Readers are cautioned that all forward-looking statements involve known and unknown risks and uncertainties, including those risks and uncertainties detailed in the continuous disclosure and other filings of Dealnet, copies of which are available on the System for Electronic Document Analysis at www.sedar.com. We urge you to carefully consider those risks and uncertainties. The forward-looking statements contained herein are expressly qualified in their entirety by this cautionary statement. Unless expressly stated otherwise, the forward-looking statements included herein are made as of the date of this news release and the Dissident Shareholders disclaim any obligation to publicly update such forward-looking statements, except as required by applicable law.

Contact Information

Dr. Steven Small
(647) 699-5066
[email protected]